The U.S. Bankruptcy Court for the Eastern District in Sacramento will hold an auction of two dozen Sacramento-area commercial properties on January 14. It is anticipated that the properties will fetch as much as $35 million.
The properties were owned by Roseville developer Abe Alizadeh and his development company, Kobra Properties, Inc. Kobra filed for bankruptcy in 2008 with $300 million in debt. Among the 24 properties are two T.G.I. Friday's in Vacaville and in Sacramento, nine area Jack in the Box restaurants, a Woodland Sonic Burger, and vacant lots. All of the lots have minimum bids, the highest being the former Vacaville T.G.I. Friday's, which has a minimum bid of $3.25 million.
A surprising number of potential bidders have come forward to inquiry about the properties despite the still-rough commercial property market. Property Manager Mark Thomann told the Sacramento Bee that his firm has received inquiries from 125 parties. Buying the properties may include approvals from Jack in the Box and T.G.I Friday corporate headquarters to reopen franchises on the sites.
The amount of interest and the willingness of corporate franchisers to work with new ownership bodes well for current Kobra employees and those looking to return to work in the restaurant industry. Kobra employed thousands in the Sacramento area. A successful auction will be a boon for the local job market.
